August 20, 2019

Risky Business

Risky Business

No antique, this one!

An insured was sitting in his living room which had caught fire and telling the claims adjustor about his ‘very’ expensive, antique piano, which he believed was 350 years old. The adjustor asked his contractor to check underneath the piano for the soundboard. The kind of wood used was only...


Abduction, anyone?

Of all the weirdness in the world of insurance, this one takes the cake. A company has promised its potential customers of a big insurance payout for taking out alien abduction insurance policies. The policy protects against extraterrestrial encounters and a host of absurd benefits for potential abductees including psychiatric...


Calling cake

A woman decided to bake a cake. She accidently baked her mobile phone too and made a claim with her insurance company. Sadly, while the company commiserated with her loss, they refused to pay for her negligence.


On the fraud trail

A woman consistently claimed for various losses for a year. She made claims for various health, stolen goods among other things, amounting to a large sum of money owed to her from the insurance company.  Fortunately, the claims adjuster and fraud investigator discovered the trend and decided to act on...


Fake mugging

A holidaymaker confessed to making up a mugging for a fake insurance claim after he was arrested. The insured filed a claim for an expensive watch that he alleged was taken from him in a mugging incident. Initial enquiries contradicted his claims and he was caught in the airport wearing...


The Cancellation

A couple had their insurance coverage terminated by their insurer owing to non-payment of premium. The woman was unfortunately in the middle of pregnancy with their first child. They received a letter stating that the coverage they had been using for nearly two years had been cancelled. It cited non-payment...


Military insurance fraud

A former pharmacist has been sentenced to two years in prison for his involvement in a health-care kickback scheme that defrauded a military insurance program. He colluded with owners of the pharmacy involved in the insurance program. He conducted a sham medical study that claimed to evaluate the safety and...


Shutting shop

A trucking company has been forced to close its doors and lay off all its staff owing to rising insurance costs. The owner said that the burgeoning insurance costs and charges for the settling claims were forcing him to make the decision. Sad circumstances indeed.


Erroneous funding

Around 50,000 customers of an insurance company were accidently charged twice for their health insurance policies. Customers had double the fees taken out of their accounts due to a glitch in the system. Many of these customers took to social media to cry foul and to understand refunding processes. The...


Protected by the law

A couple set up a law firm (yes, a law firm!) as a front to defraud an insurance company. One among them – the woman –  was hired to manage the underwriters insurance claims. The couple then wrote up false invoices for legal services supposedly provided which were then sent...

Previous Issue